Oar Resources Ltd (ASX:OAR) (ASX:OAR) (FRA:F1S) has received firm commitments for a share placement to raise up to $2.3 million at a price of 1.3 cents per share.
Investors in the placement will receive one attaching unlisted option for every one share subscribed in the placement, with each option having an exercise price of $0.03 and expiry date of two years from the date of issue.
The placement is not subject to shareholder approval and is scheduled to complete on Wednesday, June 23, 2021.
The funds raised will underpin exploration across multiple projects in the second half of 2021, including:
- Crown PGE Nickel-Copper Project, Julimar, Western Australia;
- Douglas Canyon Gold Project, Nevada; and
- Gibraltar Kaolin-Halloysite Project, South Australia.
The company anticipates final granting of its Crown Project tenement (E70/5406), to the west of Chalice Mining Ltd’s (ASX:CHN) (OTCQB:CGMLF) Julimar Complex in the near term and has strengthened its balance sheet to ensure it can hit the grounding running at the Crown Project.
Oar executive chairman Chris Gale said: “The strong demand received for our capital raising was highly encouraging.
“We are very excited to be preparing for our first ground-based activities at Crown.
“The discovery and value creation for Chalice shareholders through their Gonneville Nickle-Copper-PGE discovery is a remarkable success story which has opened up a new province in WA, and one in which we are very fortunate to have secured a permit 10 kilometres west of the Gonneville discovery.”
Notably, the recent geological interpretation carried out by Southern Geoscience identified 20 priority target areas for drilling.
Gale said: “These targets cover a series of prominent magnetic structures similar to and extend from the Chalice Mining’s Julimar Complex, that have never been drill tested.”
“We eagerly await final granting so our site team can commence their fieldwork to identify key drilling targets.”
Douglas Canyon and Gibraltar projects
Oar is also gearing up to undertake its first drilling at its Douglas Canyon Gold Project, as well as continuing its regional reconnaissance scale drilling at the promising Gibraltar Kaolin-Halloysite Project.
Gale said: “We are also very much looking forward to our first drilling at our Douglas Canyon property in Nevada in the coming months.
“The Nevada state is elephant country for world-class gold deposits, and with a number of high-grade rock chips previously identified, we are highly encouraged by what we have observed to date.”
The company expects to receive the next round of results from the Gibraltar Project in the coming weeks